The survey suggests that while expectations have become more measured, confidence remains intact. Nearly 67% of HNIs and UHNIs remain bullish on India’s economic growth over the next 12–24 months, even as global headwinds persist. Reflecting this realism, 72% of respondents expect India’s GDP growth to stabilise at 6–7% in FY27, signalling moderation—but not pessimism.

Real Estate Seen as a Safe, Long-Term Bet

Amid volatile equity markets and currency concerns, luxury housing continues to stand out as a dependable asset. About 67% of wealthy investors expect annualised real estate returns of up to 15%, reinforcing property’s appeal as a combination of capital appreciation, rental income, and lifestyle security.

Importantly, demand is not driven purely by speculation. The survey reveals a balanced buyer profile, with 53% purchasing luxury homes for capital appreciation and 47% buying for self-use, underlining a growing preference for ownership rooted in permanence and personal consumption.

City-based luxury homes remain the top choice. 31% of respondents prioritised primary residences, while 30% focused on residential investment assets within cities, reflecting continued faith in premium urban micro-markets despite higher entry prices.

Selective Buying Replaces Frenetic Demand

While appetite remains strong, buyers are no longer indiscriminate. The report highlights that the red-hot momentum of 2025—marked by record sales from listed developers and marquee transactions across Mumbai, Delhi-NCR, Goa, and Alibaug—has carried into 2026 with greater selectivity.

Tightening inventory of high-quality projects and rising prices have softened interest in second homes. Among those still exploring the segment, 46% prefer farmhouses near city peripheries, while 33% favour hill or mountain destinations, pointing to lifestyle-led purchases rather than aggressive yield chasing.

Luxury buyers today are prioritising privacy, design excellence, wellness features, and service-led living, forcing developers to recalibrate offerings toward fewer, more differentiated projects in proven locations.

Wealth Creation Continues to Fuel Demand

The survey underscores that India’s luxury housing demand is structurally supported by wealth creation. The rise of startup founders, next-generation entrepreneurs, and senior professionals, alongside traditional business families, has broadened the luxury buyer base.

In 2025, 103 Indian companies raised ₹1.76 lakh crore through IPOs, significantly boosting liquidity among affluent investors.

Commenting on the findings, Amit Goyal, Managing Director, India Sotheby’s International Realty, said,

“Even as markets show signs of moderation, luxury homebuyers continue to take a long-term view. For many, real estate represents permanence—an asset that blends capital efficiency, lifestyle value, and generational continuity. Demand has clearly shifted from scale to substance.”

Prime Assets to Outperform as Prices Cool

While overall optimism remains high, expectations around price growth have cooled. More than half of the respondents expect luxury residential prices to moderate in FY 2026–27, reflecting a maturing market rather than a slowdown.

Currency volatility has also emerged as a concern, with many HNIs and UHNIs monitoring the rupee’s depreciation against the dollar and selectively exploring overseas or dollar-linked assets. Despite this, real estate continues to hold its ground as a preferred physical asset.

Ashwin Chadha, CEO, India Sotheby’s International Realty, noted,

“India’s wealth creation and real estate growth have moved in tandem. While buying decisions are now more cautious, prime urban luxury homes will continue to outperform due to scarcity, defensibility, and long-term relevance.”

A More Professional, Disciplined Market

The survey points to a growing trend of portfolio consolidation and professionalisation. Over half of respondents are considering streamlining their property holdings, and an increasing number are relying on professional advisors rather than informal networks or local brokers.

Overall, the findings indicate that India’s luxury housing market is not immune to moderation—but it is far from losing momentum. For the country’s wealthiest buyers, luxury homes remain a strategic bet in uncertain times, anchored in quality, location, and long-term confidence in India’s growth story.

Also Read: Luxury Homes Appreciate 24%

The post While Markets Slow, India’s Rich Keep Betting Big on Luxury Homes appeared first on Square Feat India.

Industry experts note that buyers in 2025 were significantly more informed and selective, with decisions driven by lifestyle aspirations, capital preservation and legacy creation rather than short-term price appreciation.

New Buyer Profile Reshapes the Market

One of the most defining developments of the year was the evolution of buyer demographics. Alongside traditional business families, the market saw a strong influx of startup founders, next-generation entrepreneurs and senior corporate leaders, many of whom deployed capital gains from buoyant equity markets, IPOs and renewed private equity and venture capital activity into real estate.

This shift was also aided by the tax efficiency real estate offers. Reinvestment avenues under Sections 54 and 54F of the Income Tax Act continued to make property an attractive option for capital gains deployment, particularly for high-value transactions.

Amit Goyal, Managing Director, India Sotheby’s International Realty, highlighted this transformation, stating:

“2025 was a defining year for Indian real estate—marked not just by record sales, but by a clear shift in the quality, confidence, and intent of demand. We saw buyers becoming far more discerning, strategic, and long-term in their approach.”

Luxury and Ultra-Luxury Outperform Other Segments

Luxury and ultra-luxury housing emerged as the clear outperformers in 2025, significantly outpacing mid-income and affordable segments. Demand was driven by the growing preference for larger homes, privacy, branded residences and experience-led living.

According to market participants, today’s affluent buyers place high value on wellness-centric layouts, intelligent design, sustainability features, advanced security systems and global-quality services, indicating a fundamental change in how residential real estate is evaluated.

Goyal added that the focus has moved well beyond floor area and pricing:

“Buyers today prioritise wellness, intelligent design, sustainability, advanced security, and global-quality services—well beyond just square footage.”

Second Homes Gain Momentum

The demand for second homes and lifestyle residences also gained notable traction during the year. Locations such as Goa, Alibaug and select hill destinations emerged as preferred choices for affluent buyers seeking a blend of emotional value and long-term investment potential.

Work-from-anywhere flexibility, improved infrastructure and the desire for private lifestyle escapes played a crucial role in driving this trend. These markets also benefited from relatively limited supply, supporting price stability and appreciation.

Developers Face Cost Pressures but Strong Players Stand Out

While the easing of interest rates offered some relief to both developers and buyers, the sector continued to face challenges from elevated construction costs and skilled labour shortages. In this environment, developers with strong execution capabilities, disciplined planning and technology-driven efficiencies were better positioned to deliver projects on time and maintain buyer confidence.

Outlook for 2026: Selective Growth with Premium Bias

Looking ahead, industry experts expect momentum to remain intact into 2026, albeit with greater buyer selectivity. Iconic residential micro-markets in Delhi, Mumbai and Gurugram are likely to continue commanding a premium, supported by limited land availability and sustained high-end demand.

On the commercial side, India’s office market remains a key growth engine, driven by the structural expansion of Global Capability Centres (GCCs).

Summing up the outlook, Goyal noted:

“Iconic residential addresses in Delhi, Mumbai, and Gurugram will continue to command a premium, while India’s office market—led by the structural rise of Global Capability Centres—remains a key growth engine.”

Also Read: ASK Curated Luxury Assets Fund-I Signs ₹500 Crore Platform with ‘Amavi by Clarks’ for Luxury Second Homes

The post Structural Shift in Indian Real Estate as Luxury Homes and New-Age Buyers Drive Demand appeared first on Square Feat India.

The first phase of deployment will focus on high-value, easily accessible second-home markets across the Mumbai Metropolitan Region (MMR), Pune, and the National Capital Region (NCR).

New Benchmark in Branded Luxury Living

The collaboration represents a major milestone for India’s luxury real estate sector. By combining:

• ASK Property Fund’s investment expertise
• India Sotheby’s International Realty’s global luxury advisory capabilities
• Amavi by Clarks’ hospitality legacy and operational excellence

…the platform aims to create rare, branded residential villa communities that offer premium hospitality-led living, superior design, and long-term value creation for Ultra High Net Worth Individuals (UHNIs) and luxury homebuyers.

Hospitality-Led Real Estate Powered by Legacy Brands

Amavi by Clarks combines:

• Clarks Group’s 80-year hospitality heritage
• Brij Hotels’ boutique premium hospitality
• Strategic alignment with IHCL (Taj Group)

The brand enters the luxury second-home space with proven service capabilities and operational depth—positioning itself uniquely among lifestyle real estate players.

Leadership Commentary

Amit Bhagat, Co-Founder, CEO & MD, ASK Property Fund, said:

“India’s Ultra High Net Worth Individuals are increasingly drawn to luxury second homes. Our platform is designed to unlock rare, high-value opportunities in this space and deliver strong project-level profitability.”

Amit Goyal, MD, India Sotheby’s International Realty, added:

“This platform sets a new benchmark for branded luxury villa developments in iconic destinations by combining investment expertise, luxury market knowledge, and hospitality excellence.”

Apurv Kumar, Founder – Amavi by Clarks, and MD – Clarks Group of Hotels, stated:

“Our focus is on hospitality-led, premium, and de-risked leisure home assets supported by strong governance and trusted partners.”

Sachin Agrawal, Founder & CEO – Amavi by Clarks, said:

“We aim to build one of India’s most aspirational real estate brands backed by institutional oversight and world-class evaluation.”

Bajrang Bararia, Co-founder & COO – Amavi by Clarks, added:

“This platform enables us to execute thoughtfully curated projects in high-potential, underexplored markets.”

Fund Structure and Outlook

ASK Curated Luxury Assets Fund-I:

• Registered as a Category II AIF under SEBI AIF Regulations
• Plans to mobilize ₹1,500 crore including a ₹500 crore green-shoe option
• Will begin immediate investment deployment
• Dedicated exclusively to luxury residential markets, holiday homes, second homes, and religious/spiritual destinations

Also Read: ASK Property Fund invests ₹190 crore in Kalpataru project

The post ASK Curated Luxury Assets Fund-I Signs ₹500 Crore Platform with ‘Amavi by Clarks’ for Luxury Second Homes appeared first on Square Feat India.

The report indicates a significant surge in high-end demand, with 42% of Bengaluru’s total ₹10 crore+ luxury home sales over the last four years occurring in FY25 alone. This growth is attributed to factors such as Bengaluru’s thriving tech economy, rapid improvements in infrastructure, and the increasing lifestyle aspirations of urban India’s affluent population.

Demand is particularly strong for luxury homes priced between ₹10–12 crore, as they offer a combination of value and exclusivity. Hebbal has emerged as the leading market for these high-value apartments, capturing 22% of the total sales value. Other areas in Bengaluru experiencing increased interest in luxury apartments include Domlur, Sudhamnagar, and Bomanahalli.

Apartments with sizes ranging from 5,000–7,000 sq. ft. are currently in high demand, reflecting a preference for spacious, upscale living.

Ashwin Chadha, CEO of India Sotheby’s International Realty, commented on this trend, stating, “Bengaluru’s luxury housing market has entered a new league. We’re seeing discerning buyers- especially CXOs, startup founders, and global Indians, investing not just in a home, but in a lifestyle. The demand today is driven as much by aspiration as by strategic asset allocation. What’s equally encouraging is the rise of new luxury hubs across the city. That said, Bengaluru’s infrastructure will need to keep pace with this rapid evolution. Going forward, we expect more steady and sustainable appreciation in prices as the market matures and becomes even more quality-conscious.”

The report suggests that this historic growth is fueled by rising demand from high-net-worth individuals (HNIs), startup founders, CXOs, and global Indians who are increasingly seeking aspirational properties that provide exclusivity, prime locations, and a high quality of life.

Also Read: Century Real Estate Reports Strong Growth Amid Rising Demand for Luxury Properties in Bengaluru

The post Bengaluru’s Luxury Housing Market Surges Past ₹1,000 Cr Milestone appeared first on Square Feat India.